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Shanelle Whaley
on Nov 12, 2024

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Differences in tastes among nations:

A) make gains from trade possible even in the absence of differences in resource endowments.
B) make gains from trade possible only when there are differences in resource endowments.
C) negate any potential gains from trade.
D) are caused by differences in resource endowments.
E) occur only among countries whose people are of different religions.

Differences in Tastes

Variations in consumer preferences that influence demand for products and services across different markets or demographics.

Resource Endowments

The natural resources, labor force, capital, and technology that a country possesses, which influence its economic potential.

Trade Gains

The benefits that countries receive from engaging in international trade, often leading to more efficient production and a greater variety of goods and services.

  • Pinpoint the variables responsible for the formation of trade patterns across nations.
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